China x USA: Demand can be the only instrument in agreement, says expert

Last week, Trump announced a global tax on import taxes, with other Brazilian products being taxed at least 10%. The date was appointed by the Republican as the “Liberation Day.” To China, Americans applied a 34%rate. In response, the Xi Jinping government has announced the same percentage on products imported from the United States.

On Monday (7), the US president reacted and applied an additional 50% rate on top of the rates already imposed on the Asian country. With this, Chinese products can receive a rate of up to 104% to enter the US. Again, in response, China also raised the tariff load to imported American products to 84% today.

In addition to China, Canada and the European Union also reacted with retaliation to the United States. Japan was also going the same way. After pressure from scholarships and investors, Trump retreated and fixed the 10% rate for countries, except for the Chinese, for a period of 90 days.

To the Facto News channelthe expert explained that even in the face of the delicate scenario, it believes it is possible for the two countries to enter into an agreement.

Since President Trump’s first term, and more recently in the movement of his candidacy, it was very clear that China was seen as one of the most important opponents in the United States in this view of ‘how we bring back industries’ and ‘how we solve the issue of commercial deficit’.

With all this, in fact, the Chinese government seems to have had time to analyze scenarios and give answers to this ‘tariff’ in different ways: on the one hand, with tariffs and, on the other, with non -tariff barriers. These are very strong, calculated and cautious answers, always leaving the documents that are open to dialogue. Therefore, our analysis is that these two countries will sit for dialogue at some point. Larissa WachholzCEBRI Specialist